Morocco Launches Major Tax Reform to Combat Evasion and Promote Equity

Published in the Official Bulletin, this text aims at tax equity, equality for all before tax, without forgetting the strengthening of rights and mutual trust between taxpayers and the administration, writes the daily Al Akhbar. Thus, through the establishment of a simple and accessible tax system, this text consolidates the mechanisms to fight against tax fraud and evasion, as well as the control mechanisms and will allow the implementation of an awareness and monitoring program, in collaboration with all the parties concerned, as well as the implementation of sanctions in case of infringement.

Moreover, the new law has been introduced to rationalize and dry up the tax evasion niches, notes the daily. Thus, companies that can benefit from tax incentives must legally claim public subsidies. In addition, the tax incentives granted by the State must be subject to periodic evaluations to monitor the results obtained. But if the expected result is not achieved, the State would then be able to remove them. With the implementation of this law, the State also plans to ease the tax burden on taxpayers by gradually opting for a single corporate tax rate and promoting the integration of the informal sector.

In addition to the tax reform component, this law also aims to correct certain dysfunctions of the tax system that prevent the achievement of the objectives of the tax system and sustainable development. Thus, through the reform, the government wishes to boost the productivity of companies, through productive investment, creating added value and jobs, especially in priority sectors such as industry, new technologies and innovation, by supporting them in national and international competitiveness.